LG Display reports a return to profitability for the first quarter of the last seven
LG Display is responsible for the various panel types (OLED, P-OLED and LCD, for example) sold by this OEM. It has not had a good time of it financially over the last few years, having sunk into debt following its "large-scale capital expenditures" of 2017. It also posted negative financial figures in 2Q2020, possibly due to the Covid-19 pandemic. However, it had demonstrably turned things around in the following 3 months.
The division reported net profits of 11 billion South Korean won (KRW; or ~US$9.7 million) for 3Q2020, whereas the corresponding figures for 2Q2020 and 3Q2019 were KRW -504 billion (~-$445 million) and -442 billion (~-$309 million) respectively.
LG Display also put its 3Q2020 operating profits at KRW 164 billion (~$145 million), compared to KRW -436 billion (~-$385 million) for 3Q2019. There were also 27% QoQ and 16$ YoY gains in revenue for the group. It attributed this relative success to its ability to adapt to new market conditions.
LG Display also noted that its takings grew on the strength of its IT-focused business. Panels for these use-cases accounted for 43% of its 3Q2020 revenue, whereas those for TVs and other devices (smartphones included) provided 28% and 29% of the same.
It also referenced "meaningful improvement in profitability" for its P-OLED business, due to its renewed ability to start supplying to clients in need of these foldable panels for this quarter of 2020.